09446 - Microeconomics

Learning outcomes

The aim of the course is to provide the basic analytical tools for studying the behavior of economic agents (consumers, firms, and the government) and their interactions in markets. By the end of the course, students will be able to: - analyze consumers’ spending decisions and firms’ production choices; - understand how consumers and firms interact under different market structures; - analyze the various forms of public intervention aimed at correcting market failures.

Course contents

The course introduces the main models of microeconomic analysis, with particular emphasis on firms' decisions, market structures, industrial organization and competition policy.

Provisional list of topics:

1. Introduction to microeconomics
   • supply, demand and market equilibrium;
   • elasticities;
   • efficiency and welfare.
2. Consumer theory
   • preferences;
   • utility;
   • consumer choice;
   • individual and market demand;
   • basic elements of decision-making under uncertainty.
3. Theory of the firm
   • production technology;
   • short-run and long-run costs;
   • profit maximization;
   • firm's supply.
4. Competitive markets
   • perfect competition;
   • market equilibrium;
   • factor markets.
5. Market power and industrial organization
   • monopoly;
   • price discrimination;
   • oligopoly (Cournot, Bertrand and Stackelberg models);
   • game theory;
   • collusion and cartels;
   • product differentiation.
6. Competition policy and antitrust
   • market power and efficiency;
   • abuse of dominant position;
   • anticompetitive agreements;
   • merger control;
   • digital platforms;
   • selected European antitrust cases.

The course also provides a brief introduction to information economics, externalities and bounded rationality.

Readings/Bibliography

Main textbook

• R.S. Pindyck and D.L. Rubinfeld, Microeconomics, Pearson, latest available edition.

Additional teaching material (lecture slides, exercises, articles and case studies) will be made available through the Virtuale platform.

Teaching methods

The course combines lectures, problem-solving sessions and discussion of case studies. Theoretical models are continuously applied to firms' strategic decisions, competitive behaviour and contemporary markets, with particular attention to digital markets and competition policy.

Assessment methods

The course offers two alternative assessment options, both based on written examinations:

• Two-part assessment: students may take a midterm examination during the teaching period (worth 50% of the final grade) and a second written examination during the summer examination session (worth the remaining 50%).
• Single assessment: alternatively, students may complete the course by taking one comprehensive written examination during any of the official examination sessions.

The examinations include quantitative exercises and interpretative questions designed to assess both students' understanding of the theoretical models and their ability to apply them to economic problems.

Further details regarding the structure and content of the examinations will be provided during the course.

Grades are awarded on a 30-point scale and may be interpreted as follows:

• Below 18: fail
• 18–23: satisfactory
• 24–27: good
• 28–30: very good
• 30 with honours (30 cum laude): excellent

All examinations are based on the syllabus for the current academic year and are open to all students enrolled in the degree programme, regardless of their year of enrolment.

Teaching tools

The course consists of lectures and tutorial sessions devoted to the guided solution of problems and applied exercises. Attendance is not compulsory, but it is strongly recommended to facilitate a more effective understanding of the course material and to support progressive learning throughout the semester.

Office hours

See the website of Elena Argentesi